SAP is likely one of the world’s largest software program corporations. Databricks is among the many quickest rising.

On Thursday, the 2 corporations introduced a partnership that may put Databricks’ knowledge evaluation know-how alongside SAP’s human assets, finance and logistics software program in order that prospects can extra simply entry and make sense of their most important knowledge.

“The best way I give it some thought, an important enterprise knowledge on the planet as we speak is definitely SAP knowledge, and now you might be marrying it with one of the best knowledge platform,” mentioned Databricks CEO Ali Ghodsi, in an interview with CNBC. “For me, it is a marriage made in heaven.”

Like the remainder of the know-how sector, SAP and Databricks have each been promoting buyers on the worth of synthetic intelligence.

In late January, SAP boosted its monetary outlook for the yr, fueled by AI. The inventory is up 69% prior to now yr. Databricks, in the meantime, is privately held with a $62 billion valuation and is among the many corporations of biggest curiosity to Wall Road concerning a possible IPO.

Final month, Databricks mentioned Meta had signed on as an investor. The 2 corporations work collectively on the favored Llama open-source AI mannequin, which Meta created.

Databricks co-founder and CEO Ali Ghodsi.

Databricks

SAP is asking the mixed providing Enterprise Knowledge Cloud. CEO Christian Klein instructed CNBC that, “We’re opening up the enterprise knowledge of SAP and we’re matching non-SAP knowledge to it with Databricks.”

The product can be obtainable on cloud providers from Amazon, Microsoft and Google.

Klein mentioned SAP’s Joule AI assistant will function throughout the completely different capabilities at the side of AI brokers, serving to prospects perceive how exterior components like climate, tariffs or coverage shifts might have an effect on their enterprise.  

“Each firm as we speak sees the huge potential for AI, and now each firm can also be going through the identical problem, knowledge silos,” Klein mentioned.

In fiscal 2024, SAP reported that 41% of income got here from its cloud enterprise useful resource planning suite, with 33% development yr over yr. Klein mentioned the combination of Databricks has the potential to speed up that development.

Ghodsi mentioned Databricks has earmarked about $250 million to take a position “in migrations to the SAP community,” and predicted that the combination will drive $1 billion of income for the corporate within the subsequent few years.

“After we speak to our prospects they inform us many times and once more, ‘We want that SAP knowledge,'” Ghodsi mentioned.

WATCH: Databricks CEO on partnership with SAP